Does the product differentiation in monopolistic competition

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1. Colleges give financial aid to certain students. Is this price discrimination? If so, should it be against the law?

2. A best-selling horror book, Duma Key by Stephen King, was sold in hardback for $28 when it was first released. One year later, the publisher issued a soft-cover edition for $9.99. What accounts for the difference in price?

3. Does the product differentiation in monopolistic competition make us better or worse off? Why?

Reference no: EM131401807

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